What’s inside:
The Bihar government is planning to increase land circle rates in rural areas after 13 years, which will affect land prices and registrations.
The Bihar government is set to make a big change regarding land prices in rural areas. It’s been 13 years since the last update, and now the Prohibition, Excise, and Registration Department is looking at proposals to increase the circle rate, especially for land close to roads.
Officials from the Registration Department say that the last circle rate revision for rural areas was in 2013, while urban areas saw changes in 2016. Since then, land prices have shot up in the market, but the government rates have stayed the same. Right now, market prices for agricultural land have nearly doubled compared to government rates, and roadside land prices have skyrocketed to four to ten times the government rate.
The changes will categorize new main roads and wide roads that connect cities and districts as commercial roads. This will help set a new circle rate. Also, the Minimum Value Rate (MVR) will be reassessed by dividing the residential roads into different types. Once the proposals are reviewed, a final draft will be prepared for government approval.
This increase in circle rates is expected to benefit farmers directly. When land is acquired, they will receive compensation closer to the current market value, which should reduce protests and ease land acquisition for government projects. This could help speed up many pending development initiatives.
On the flip side, higher circle rates mean that buying and selling land could get more expensive due to increased stamp duties and registration fees. Overall, this change is significant for both the government and landowners, and it will have lasting effects on land transactions.
Summary:
- Bihar is planning to revise circle rates for rural land after 13 years.
- Last updates were in 2013 for rural and 2016 for urban areas.
- New rates will categorize roads and adjust Minimum Value Rates.
- Farmers could benefit from compensation closer to market value.
- Buying and selling land may become costlier due to higher fees.
